Constance Brown Composite Index, RSI, DOSC Exploration

30 thg 9, 2019

Preliminary exploration of Constance Brown's trading style with a focus on divergence plotting with the Composite Index, RSI + Averages, and the Derivative Oscillator.

• first, hide the price action + derivative oscillator so they're not visible, and only the RSI + CBCI are visible:
  
• next, plot vertical lines where the CBCI (gray) crosses above or below it's two moving averages (sma11&33, aqua and green):
  

* then, use the CBCI to spot divergences on the RSI, as an indicator of an indicator to spot divergences.

The CBCI was designed to have momentum + not be range bound and to work to spot divs on the RSI, as follows:


* then draw the vertical lines from the crossovers on the price action/candlesticks and unhide the chart:



* label/check each divergence and unhide the derivative oscillator:


* then, mark on the derivative oscillator zero line crosses + directional momentum changes:



* Filter out the majority of derivative oscillator zero line crosses and directional changes that occur during div periods that don't overlap:


* Finally, filter derivative oscillator signals to congruence to divergence type and plot on chart:

4 thg 10, 2019

Ghi chú

Bearish div on the 4h Chart update:
tradingview.com/chart/MWJdLzCI/

4 thg 10, 2019

Ghi chú

Edit:
Correction to above link for update/4H bear div: